Corona epidemic: 20 percent slump expected in display production

The corona virus has already paralyzed various factories in China and South Korea, and more are constantly being added. The resumption of production is apparently difficult.

Order maker Foxconn had to temporarily close its Fabs in Shenzhen and Zhengzhou by order of the authorities. This was due to the central air conditioning in the factories and insufficient ventilation in the workers' accommodation. Then Foxconn announced that it would temporarily stop working in all Chinese factories.

In order to be able to resume work in a controlled manner, the contract manufacturer has now brought in the Chinese epidemiologist Zhong Nanshan. He had made a significant contribution to the detection and control of the SARS virus and should accompany the resumption of production. One hopes to be able to achieve at least half of the usual production results in this way by the end of February. However, it is difficult to move the workers back to their workplaces, which is why Foxconn has already offered bonuses for new workers.

The corona virus first appeared in China and has since spread to Korea.

Among other things, Foxconn is the main producer for the iPhone and other Apple products. That is why the Cupertino company is particularly hard hit by the reduced production capacities. Apple CEO Tim Cook had recently tried to spread optimism. At the same time, however, he lowered the company's sales expectations in a stock exchange announcement. Foxconn Technology Group aka Hon Hai Precision Industry Co. also lowered its sales expectations for 2020 as a result of the epidemic.

Foxconn is just one of the companies affected – although the company is particularly hard hit because it has its production facilities in Shenzhen, China, and therefore has hardly any alternatives.

However, the epidemic is particularly hard on companies in the Chinese province of Hubei, in which the city of Wuhan is also located. The authorities there ordered six million people to stay at home. Wuhan is not only the epicenter of the corona virus, but also the production center of the Chinese display manufacturers.

China now dominates parts of the global flat panel display industry. For this reason, experts anticipate that panel production will collapse by around 20 percent worldwide in February due to the corona epidemic. If production should start up again gradually, the decline in March could be reduced to 5 to 10 percent.

At Samsung's mobile display factory in Gumi, South Korea, which has already been temporarily closed, another worker has apparently tested positive for Corona. According to Reuters, this has now led to the plant being closed again.

LG also temporarily suspends work in a Fab for smartphone displays in Gumi due to the Corona virus; Reuters plans to resume on March 3.

One shows how far the infection with the virus has progressed interactive map of Johns Hopkins University from Baltimore. It brings together information from the World Health Organization, the Center for Disease Control, the National Health Committee of the People's Republic of China and aggregated data from Chinese provinces. In it you can explore where confirmed cases of the virus have occurred and how the situation is on a global scale.

According to the John Hopkins University, there are currently 79 confirmed corona cases in Germany.

As Telepolis reported, the following picture emerges: The approximately 80,000 confirmed infections in China (mainland China) are acutely opposed to well below 1,000 cases across Europe. Most of the Covid 19 cases confirmed in Europe are currently in Italy: 1128. For Germany, the figure on the map is 79 cases, the Robert Koch Institute currently has 53 cases. More than 30,000 patients are ill worldwide.